They’re back… Lawmakers Return to Lansing

State lawmakers will be back in Lansing today after a two-week Spring break and it looks like they have quite a bit on their agenda. Budget-related subcommittees in both the House and Senate are scheduled to meet today. Governor Rick Snyder says he wants lawmakers to finish the budget by May 31st. Many lawmakers, however, say they don’t think the budget process will be finished before this summer.

And, a state House panel will begin the process of redrawing the state’s political maps. The latest census numbers show Michigan will lose a Representative in Congress. As Laura Weber reports, the redistricting process will work like any other law that is approved by the Legislature and then moves on to Governor Rick Snyder for his signature.

Bing to Present Budget

Detroit Mayor Dave Bing will present his budget for the city later this morning. The Associated Press reports the budget will propose a five-year plan to wipe out the city's $150 million budget deficit. From the AP:

Tuesday morning's presentation is the first step in the city's budget approval process heading into the new fiscal year that starts July 1…

Bing has fought often with city unions over concessions designed to cut into the deficit.

A union protest of Bing's proposed 2011-12 budget is planned Tuesday's afternoon outside the Coleman A. Young Municipal Center.

Fiat Wants More of Chrysler

Fiat could increase its ownership stake in Chrysler this week, Tracy Samilton reports. Eventually, Fiat hopes to own a majority of Chrysler. Samilton explains:

In 2009, the federal government agreed to give Fiat 20% of Chrysler in return for taking over management of the Detroit automaker.  The deal also set up incremental steps by which Fiat could reach 51%. Fiat CEO Sergio Marchionne says he expects Fiat’s stake to grow to 30% this week, after meeting a requirement to increase sales of Chrysler vehicles outside North America. 

Gas Prices Continue to Rise

An average gallon of gas in Michigan is now $3.86, nearly $1.00 more than it was at the same time last year.  A spokesperson for AAA Michigan says this is the 8th weekly increase in gas prices this year. Ann Arbor had the state's highest per-gallon gasoline at $3.89. The Lansing area had the lowest price at around $3.76 a gallon. It could be worse, however: gasbuddy.com reports that some areas of California are seeing gasoline go for over $4.10 a gallon.

Twelve Republican legislators from northern Michigan are proposing a plan that would keep some forest campgrounds in the state open.

The Michigan Department of Natural Resources announced last week that the state will be closing twenty-three state forest campgrounds beginning in May.

The DNR says they’re closing the campgrounds because they’re not heavily used and the state doesn’t have the money to maintain them.

The GOP lawmakers detailed plans on Monday that would give local governments the option to take over the campgrounds that would otherwise be closed.

Michigan lawmakers will be back at the state Capitol today after a two-week Spring break and it appears that their attention will turn to the state budget.

Budget-related subcommittees in both the House and Senate are scheduled to meet today.

The state faces a projected budget deficit of around $1.5 billion for the fiscal year that begins October 1st. Governor Rick Snyder says he wants lawmakers to finish the budget by May 31st.

Many lawmakers, however, say they don’t think the budget process will be finished before this summer.

Detroit Mayor Dave Bing will present his budget for the city later this morning. The Associated Press reports the budget will propose a five-year plan to wipe out the city's $150 million budget deficit. From the AP:

Tuesday morning's presentation is the first step in the city's budget approval process heading into the new fiscal year that starts July 1.

It follows Gov. Rick Snyder's signature last month on a state law that gives more power to state-appointed financial managers, letting them toss out union contracts to help balance the books of distressed communities and struggling school districts.

Bing has fought often with city unions over concessions designed to cut into the deficit.

A union protest of Bing's proposed 2011-12 budget is planned Tuesday's afternoon outside the Coleman A. Young Municipal Center.

Toyota will shut down its U.S. factories five extra days this spring because of parts shortages – and warns its American dealers to expect inventory shortfalls this summer. 

Rick Hodges is General Manager of Victory Toyota in Canton, Michigan.   It’s bad news, especially in the wake of last year’s recall crisis. 

"When the weather breaks, March all the way through August is normally when we’re going to sell 2/3 of all of our vehicles," says Hodges, "And it’s going to hurt our sales, sure."

Fiat could increase its ownership stake in Chrysler this week. 

Eventually, Fiat hopes to own a majority of the Detroit automaker. 

In 2009, the federal government agreed to give Fiat 20% of Chrysler in return for taking over management of the Detroit automaker.  The deal also set up incremental steps by which Fiat could reach 51%.    

Fiat CEO Sergio Marchionne says he expects Fiat’s stake to grow to 30% this week, after meeting a requirement to increase sales of Chrysler vehicles outside North America.  

A conservative group against a proposed second bridge span between Detroit and  Windsor, Ontario is running negative ads about the project in districts of Republicans who have not taken a stance against the bridge. They want voters to call and pressure the lawmakers to oppose Governor Rick Snyder’s bridge proposal.     

Scott Hagerstrom is with Americans for Prosperity-Michigan. He says the cost of a second bridge would fall to taxpayers, unless it is paid for completely by private money.

The state Treasury Department says medical marijuana cannot be taxed in Michigan without a change in the law. The medical marijuana law was enacted by voters in 2008. But the law is silent on the question of taxing medical marijuana dispensed by licensed clinics and caregivers.  

James Campbell is an accountant who asked for the opinion. He says the state has not been taxing dispensaries and caregivers. But Campbell says he could not be sure that wouldn’t change.

Detroit City Council has approved $125 million in bonds to help pay for a light rail system that will stretch from downtown Detroit to the New Center.

The total cost of the project is expected to be $528 million, according to Bill Shea at Detroit Crain's Business.

Council also approved a $25 million TIGER grant from the federal government (Transportation Investment Generating Economic Recovery).

A state House panel will begin the process of redrawing Michigan’s political maps this week at the state Capitol. The redistricting process works like any other law that is approved by the Legislature and then moves on to Governor Rick Snyder for his signature.

The new political map will also most likely be contested and end up in front of the Michigan Supreme Court. But with all areas of government controlled by Republicans, many Democrats are skeptical that the process will be fair.   

Republican state Representative Pete Lund will chair the committee.       

Former Michigan Representative Bart Stupak has accepted a new position in the Legislative and Government Affairs Group at Venable LLP, a law and lobbying firm.

Representative Stupak received national attention for his last minute decision to support the White House-led health care reform effort, which he had previously opposed.

CNN reports:

The Detroit Free Press reports former Detroit City Council president Monica Conyers is asking a federal judge to let her serve the remaining time on her prison term at home. 

Fiat CEO Sergio Marchionne says the Italian auto maker will increase its stake in Chrysler in the coming days.  Fiat currently controls about 25% of the Detroit auto company.  The Wall Street Journal reports Marchionne plans to add another 5%.